The arrival of Bitcoins in 2009 changed the economy as we know it. It was at that time when cryptocurrencies arrived and the era of transactions with digital currencies began.

However, what exactly are blockchains and how do they influence business? Today we’re going to discover it.

What are blockchains?

The blockchain technology was born in 2009 with the creation of Bitcoin. Satoshi Nakamoto, who until today is not known if it was someone or a group of people, was the first to develop it.

As with the Internet, automobiles and smartphones, people don’t have to understand how a blockchain works to use it. However, nothing prevents that it can be explained in a simple way how it works.

To make it short, a blockchain allows digital information to be distributed but not copied over the Internet. It was originally designed, as said before, for Bitcoins. But it was discovered that other types of digital value could be created with this technology.

Mining Cryptocurrencies
A cryptocurrency mining machine. Recall that blockchain technology was initially developed for them. Source: Парус

Imagine that thousands of spreadsheets are generated in a computer network. And that are updated on a regular basis. These spreadsheets contain all kinds of digital information. That “information” is what has value. And what makes the cryptocurrencies viable.

It should be noted that the blockchains are a database. Which allow to make a record not only of financial transactions with cryptocurrencies. But with anything else that has value.

How do blockchains influence business?

The blockchain is undoubtedly ready to change the world with its arrival. Since it altered the way in which money moves. This is because all cryptocurrencies are distributed and stored in a decentralized manner. Making them perfect for business.

It’s expected that by 2018, many corporations and companies will begin to make transactions applying this technology. The blockchain allows you to store and distribute money in a less regulated and free way. This would make him the bank of the future.

Blockchain Financing
The blockchain technology also proved useful for crowdfunding and financing. Currently there are many platforms and companies that work with crowdfunding with cryptocurrencies.

It also works to create what is known as smart contract. Which is practically the same as that but moved to the digital world. It allows certain digital processes to be carried out when certain conditions are met.

Medical services can also benefit from blockchains. Mostly because hospitals require registering, storing and protecting information about their patients. And this technology is perfect for it. Since each aspect of a patient, such as date and time of admission and medical history, is saved individually with time stamp included.

Currently, some companies, corporations and companies are already using this technology for their businesses. Today you will meet some of them.

Bancor Protocol

To make it simple, Bancor Protocol is a platform for intelligent contracts made on the Ethereum operating system. Its main objective is to solve a problem that in economics is known as “double coincidence of wants”.

This is defined as the situation where the supplier of a good A wants good B and the supplier of good B wants good A. Here’s a video where they introduce and explain how their business works.

Therefore, this ends up causing losses for both parties because there’s no counterpart that offers what they want or that buys what they sell. So this platform offers a liquidity mechanism for tokens.

The benefits obtained from this business did not go unnoticed. Currently, its business is still active and continues to be of benefit to many people.

EOS

Operating systems and platforms based on the blockchain model also seem to be very successful in crowdfunding. EOS is an operating system that works with this same model and that serves as support for decentralized commercial operations.

This system offers accounts, databases, authentication, asynchronous communication and application programming in multiple CPU cores and/or clusters. The result is a blockchain system with the power to scale to millions of transactions per second.

EOS Dawn
Source: EspacioBit

In turn, it eliminates user fees and allows for quick and easy deployment of decentralized applications. It may sound complicated but remember the examples we mentioned before. This operating system can be applied by companies that require it to store data, information or cryptocurrencies.

Tezos

By now, it’s clear that smart contracts and blockchains will dominate the world. Or at least they’ll be the future. Tezos is another website that functions as a crowdfunding platform. It’s a decentralized blockchain in which cryptocurrencies circulate actively. Which also play a very important role in what are the blockchains and their use for smart contracts.

Tezos Statistics
The crowdfunding statistics of the Tezos platform. For March 23, 2018.

Take into account that this platform works collecting and making transactions with cryptocurrencies. In this case, this platform managed to raise $ 232,000,000 through crowdfunding in 2017. A feat that demonstrates the power of this system in collective financing.

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Could it be that the blockchains are the future of business..?